135-3 Safety and security | Aurora City Code

Sec. 135-3. Safety and security.

(1) A security plan must be included with the OGP application to indicate how the oil and gas location and associated oil and gas facilities will be operated and maintained free from purposeful and inadvertent interference from anyone except the operator. The security plan may contain a description of fencing, cattle guards, a remote security system, warning and identification signs, and gating.

a. Access for emergency responders. Knox Hardware in the form of a Knox Box will be required to allow fire service personnel to extend fire hose to and within this restricted area. The Knox Box shall be mounted on the gating system. The Knox Box shall be mounted on the ingress side of the gate post.

(1) Detailed emergency action plan. The operator is required to complete a detailed emergency action plan for all operations in the City of Aurora and a site-specific plan for each oil and gas location, including all flowlines, crude oil transfer lines, and associated oil and gas facilities.

(2) Required elements of the emergency action plan. The emergency action plan shall consist of at least the following information:

a. Name, address, and phone number, including 24-hour emergency numbers for at least two persons responsible for emergency field operations as well as the contact information for any subcontractor of operator engaged for well-control or flowline emergencies.

b. An as-built facilities map to be provided after the facilities are placed in service, in a format suitable for input into a GIS system depicting the location of aboveground facilities, flowlines, and associated equipment for emergency response and management purposes.

c. A detailed plan for responding to emergencies that may include any or all of the following: explosions, fires, gas, oil, or water pipeline leaks or ruptures, spills, accidents, unexpected release of hazardous gases or chemicals, and unexpected pressure events. A provision that any spill outside of the containment area that has the potential to leave the oil and gas location or to threaten water, or as required by the city-approved emergency action plan, shall be reported to the city's local government designee (LGD).

d. Detailed information identifying access or evacuation routes and health care facilities anticipated to be used.

e. Operator shall provide the city with its emergency shutdown protocols and promptly notify the city of any emergency shutdowns related to on-site upset conditions that would have an impact on any area beyond the confines of the oil and gas location.

f. A statement and detailed information indicating that the operator has adequate personnel, supplies, and training to implement the emergency action plan immediately at all times.

g. The operator shall have current safety data sheets (SDS) for all chemicals available upon request. The SDS shall be provided immediately upon request to city officials, a public safety officer, or a health professional as required by COGCC regulations. Operator's contractors are responsible for the management of their own SDS and are to be made available upon request.

h. All "walkthroughs" or training associated with the emergency action plan shall be coordinated with the City of Aurora fire rescue upon their request.

i. Operator shall reimburse the appropriate emergency agencies for their reasonable expenses (as determined by the emergency agency) directly resulting from the operator's operations.

(3) Notification to emergency service providers. Operator shall notify and work with Aurora fire rescue, Aurora public safety communications, Bennett-Watkins fire rescue, Sable Altura fire rescue, and Buckley Air Force Base fire department as applicable to prepare for an emergency if requested by them to do so. In case of an emergency, the operator will have appropriate response foam and the capacity to apply such, available to respond to emergencies related to the oil and gas location, flowline, and crude oil transfer line.

(4) Approval of emergency action plan. The city and Aurora fire rescue must approve the emergency action plan before the drilling phase commences. As long as all requirements of this regulation are met, the city and Aurora fire rescue shall not unreasonably withhold approval and shall approve the emergency action plan within 30 days of submittal.

(5) Annual update of emergency action plan. The emergency action plan shall be filed with the city and Aurora fire rescue and updated on an annual basis or as conditions change (responsible field personnel changes, ownership changes, etc.).

(6) Training. Operator shall conduct coordinated training exercises with the office of emergency management (OEM) and the fire district having jurisdiction at the facility for each well pad, at these times:

a. After the well pad is constructed and before the drilling phase commences;

b. Prior to the start of the production phase; and

c. Annually thereafter.

(1) Field-wide emergency response plan. When an operator applies for a second or subsequent oil and gas location permit application, they shall submit an in-depth field-wide ERP that encompasses every element required by the ERP and a summarized site-specific ERP to cover each individual site.

(1) PHA-HAZOP. A third-party PHA-HAZOP certified facilitator shall coordinate a hazard and operability study with the cooperation of the operator. If any of the findings by the PHA-HAZOP certified facilitator are applicable, this information will be added to the emergency action plan and Aurora fire rescue training. The operator will provide a letter from the engineer of record, which has been signed and sealed, showing that the operator has incorporated all applicable PHA-HAZOP recommendations in the design of the applicable oil and gas location.

a. The engineer of record letter shall include the credentials of pertinent individuals that are responsible for any studies, design, and operational implementation, such as the "certified facilitator, engineer of record, data analyst, design team, etc."

(1) Well equipment and all existing equipment at the oil and gas location shall be anchored to the extent necessary to resist flotation, collapse, lateral movement, or subsidence in compliance with applicable Federal Emergency Management Agency (FEMA) (as administered by this city) and COGCC rules and regulations. All guy line anchors left buried for future use shall be identified by a marker of bright color not less than four feet in height and not greater than one foot east of the guy line anchor.

(1) A photometric plan with fixture specifications must be included with the OGP application.

(2) Lighting shall be downcast and shall not shine beyond the boundaries of the oil and gas location.

(3) Operator may use temporary, portable lighting when necessary for safety reasons. Temporary lighting shall be downcast and shall not shine beyond the boundaries of the oil and gas location unless necessary for safety.

(1) Open-ended discharge valves on all storage tanks, pipelines, and other containers within the oil and gas location, flowline, or crude oil transfer line shall be secured, capped, or blind-flanged and shall not be accessible to the general public. An exception is made for safety relief valves. Open-ended discharge valves within the oil and gas location or flowline shall be placed within the interior of the secondary containment area.

(1) Chemical disclosure. All hydraulic fracturing chemicals must be disclosed to Aurora fire rescue as part of the emergency response plan pursuant to the process set forth below before bringing such chemicals onto an oil and gas location. The operator shall make available to the city, in a table format, the name, Chemical Abstracts Service (CAS) number, and storage, containment, and disposal methods for such chemicals to be used on the oil and gas location, which the city may make available to the public as public records if legally allowed to do so. Operator must provide to the city a copy of any chemical disclosure documentation which is required to be provided to the COGCC, subject to any trade secret exception.

(2) Chemical storage. The operator shall not permanently store fracturing chemicals or flowback from hydraulic fracturing on an oil and gas location. Operator shall remove all unused hydraulic fracturing chemicals at an oil and gas location within 30 days following the end of the completion phase at the well.

(3) Chemicals not permitted for use. In addition to any substances that are not permitted to be used in accordance with state or federal rules or regulations in place from time to time, the following chemicals in Table 135-3-1 shall not be utilized in the hydraulic fracturing fluid at the oil and gas location:

Table 135-3-1. Chemicals Not to Be Used in Hydraulic Fracturing
Ingredient Name	CAS #
Benzene	71-43-2
Lead	7439-92-1
Mercury	7439-97-6
Arsenic	740-38-2
Cadmium	7440-43-9
Chromium	7440-47-3
Ethylbenzene	100-41-4
Xylene-f	1330-20-7
1,3,5-trimethylbenzene	108-67-8
1,4-dioxane	123-91-1
1-butanol	71-36-3
2-butoxyethanol	111-76-2
N,N-dimethylformamide	68-12-2
2-ethylhexanol	104-76-7
2-mercaptoethanol	60-24-2
benzene, 1, 1'-oxybis-, tetrapropylene derivatives, sulfonated, sodium salts (BOTS)	119345-04-9
Butyl glycidyl ether	2426-8-6
Polysorbate 80	9005-65-6
Quaternary ammonium compounds, dicoco alkyldimethyl, chlorides (QAC)	61789-77-3
Bis hexamethylene triamine penta methylene phosphonic acid (BMPA)	35657-77-3
FD&C blue No. 1	3844-45-9
Tetrakis(triethanolaminato) zirconium (IV)(TTZ)	101033-44-7

(1) An automated safety system, governed by safety devices and a programmable logic computer, will be installed at the oil and gas location. The automated safety system shall include the installation, monitoring, and remote control of a surface safety valve (SSV), among many other engineered measures and devices that are implemented to greatly reduce or eliminate the potential for a well event. All wells will have an SSV installed prior to the commencement of the production phase, which is connected to the production tubing at the surface. The SSV will be equipped to operate remotely via the automated safety protective system, which monitors multiple flowing pressures and rates which have predetermined maximum and/or minimum threshold values programmed and will remotely shut-in wells should certain upset conditions be detected. Additionally, the automated safety system provides the ability to remotely shut-in wells on demand through operator remote intervention. The SSV will have documented quarterly testing to ensure functionality.

(1) All ground within 25 feet of any tank, or other structure containing flammable or combustible materials, shall be kept free of dry weeds, grass, rubbish, or landscaping.

(1) Operator shall operate and maintain all equipment pursuant to manufacturer specifications consistent with technological limitations and reasonable and customary maintenance practices.

(1) General. Operator shall not conduct the drilling phase and completion phase operations simultaneously at a single oil and gas location.

(2) Signs. Each oil and gas location shall post a legible sign in a conspicuous place, which is three to six square feet in area. The sign shall bear the current name of the operator, a current telephone number including area code, where the operator may be reached at all times, name or number of the lease, the number of the well, and the street address when assigned by the city printed thereon. The sign shall warn of safety hazards to the public and shall be maintained on the premises from the time materials are delivered for drilling purposes until the oil and gas location is properly reclaimed and abandoned.

(1) General. Operator shall provide liability and insurance under the conditions and in the amounts set forth below.

(2) Operator shall maintain or cause to be maintained, with insurers authorized by the state of Colorado and carrying a financial strength rating from A.M. Best of no less than A-VII (or a similar rating from an equivalent recognized rating agency), at a minimum, the following types of insurance with limits no less than the amounts indicated:

a. Commercial general liability insurance. Operator shall provide commercial general liability coverage against claims arising out of bodily injury, death, damage to or destruction of the property of others, including loss of use thereof, with exclusions for explosion, collapse, and underground (XCU) hazards deleted and including products and completed operations in an amount not less than $2,000,000 per occurrence and $4,000,000 general aggregate.

b. Commercial automobile liability insurance. Operator shall maintain commercial automobile insurance covering liability arising out of the operation of any vehicle (including owned, nonowned, and hired vehicles) with minimum limits of $1,000,000 combined single limit each accident.

c. Workers' compensation and employers' liability insurance. Operator shall maintain worker's compensation insurance in accordance with the provisions of the Workers' Compensation Act, as amended, by the state of Colorado. Additionally, the operator shall maintain employers' liability insurance with minimum limits of $1,000,000 bodily injury for each accident, $1,000,000 bodily injury by disease each employee, and $1,000,000 bodily injury disease aggregated.

d. Control of well/operators extra expense insurance. Operator shall maintain control of well/operators extra expense insurance with limits of not less than $25,000,000 per occurrence covering the cost of controlling a well that is out of control or experiences a blowout, redrilling, or restoration expenses, seepage and pollution damage resulting from an out of control well or blowout as first party recovery for the operator and related expenses, including, but not limited to, loss of equipment and evacuation of residents.

e. Umbrella/excess liability. Operator shall maintain umbrella/excess liability insurance providing coverage in excess of general liability, employer's liability, automobile liability, and control of well/operator's extra expense with limits no less than $25,000,000 per occurrence; provided, however, that for so long as the construction phase, drilling phase, or completion phase is ongoing at the oil and gas location, flowline, or crude oil transfer line, operator will maintain such insurance with limits not less than $100,000,000 per occurrence. Coverage shall follow the form of the underlying policies.

1. Operator shall maintain environmental/pollution legal liability insurance covering any bodily injury, liability, and property damage liability, arising out of the collection and disposal of pollutants, including items in transit to a permanent disposal facility, which may arise from operator's activities. Coverage must include gradual pollution events. This policy shall be maintained with minimum limits of $10,000,000 per claim or occurrence.

2. The insurance shall be in effect for the duration of the life of all oil and gas locations and oil and gas facilities, and any changes in insurance carriers shall allow for an extended reporting period or "tail" coverage to cover any claims arising prior to the new insurance taking effect.

3. If coverage is written on a claims-made basis, the retroactive date must precede the required date in order to cover all wells. As such, the required date shall be 30 days prior to the date of first construction of the oil and gas location (the "required date").

(3) Operator shall waive and cause its insurers under the above policies to waive for the benefit of the city any right of recovery or subrogation which the insurer may have or acquire against the city or any of its affiliates, or its or their employees, officers, or directors for payments made or to be made under such policies.

(4) As it pertains to the risks and liabilities assumed by operator, operator shall add the city and its elected and appointed officials and employees as additional insureds under general liability (including operations and completed operations), auto liability, and umbrella liability.

(5) Operator shall ensure that each of the policies is endorsed to provide that they are primary without right of contribution from the city or any insurance or self-insurance otherwise maintained by the city, and not in excess of any insurance issued to the city.

(6) Operator shall ensure that each of the policies above (excluding workers' compensation and OCC/COW) are endorsed to state that the inclusion of more than one insured under such insurance policy shall not operate to impair the rights of one insured against another insured and that the coverage afforded by each insurance policy shall apply as though a separate policy had been issued to each insured.

(7) All policies shall be endorsed such that they cannot be canceled or nonrenewed without at least 30 days' advance written notice to the operator and the city, evidenced by receipt, except when such policy is being canceled for nonpayment of premium, in which case 10 days' advance written notice is required. Language relating to cancellation requirements stating that the insurer's notice obligation is limited to "endeavor to" is not acceptable.

(8) Operator shall, prior to OGP issuance, deliver certificates of insurance reasonably acceptable to the city confirming all required minimum insurance, except that insurance under subsections (m)(2)(d), (m)(2)(e) and (m)(2)(f) of this section is in full force and effect. Prior to issuance of a notice to proceed (NTP) for drilling, operator shall deliver certificates of insurance reasonably acceptable to the city confirming all required minimum insurance under subsections (m)(2)(d), (m)(2)(e) and (m)(2)(f) of this section is in full force and effect.

(9) Deductibles or retentions shall be the responsibility of operator. Deductibles or retentions must be listed on the certificate of insurance required herein and are subject to the reasonable approval of the city.

(10) Operator shall require its subcontractors to carry the types of coverage and in the minimum amounts in accordance with the requirements set out in subsections (m)(2)(a), (m)(2)(b) and (m)(2)(c) of this section. Operator shall be responsible for any damage or loss suffered by the city as a result of noncompliance by operator or any subcontractor with this section.

(11) In the event that operator's coverage lapses, is canceled, or otherwise not in force, the city reserves the right to obtain the insurance required herein and charge all costs and associated expenses to operator, which shall become due and payable immediately.

(1) As part of operator's application to the city, operator shall provide a risk management plan, which will include the identification of potential risks, methods of risk avoidance, and controls that implement techniques to prevent accidents and losses and reduce the impact or cost after the occurrence of identified potential events. (Ord. No. 2021-15, § 3, 6-14-2021)